Know Your Supplier - Rubber & Tyre Machinery World May 2016 Special

In Conversation With

JACOB PELED, Exec. Chairman

PELMAR ENGINEERING LTD.

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8COVER STORY

Pelmar Offers Total Solution Conversation with Jacob Peled, Founder and Executive

Chairman of the Pelmar Group of Companies, on their total

solutions for tyre and rubber industry.

53110 C’s Of SupplierEvaluation

INSIGHT

4017 Essential QuestionsTo Select Right Rebuilder

TIPS

May 2016

Change is inevitable. Changes in the business environment

happen all the time. The economy fluctuates up or down on

a daily basis, frequently causing businesses to alter the way

they operate. New competitors enter the marketplace while

others leave. Advancements in technologies, products and

innovation lead to change in a business environment.

Sustaining and innovating amidst changes is the hallmark

of exemplary leadership. Pelmar Group has been displaying

this leadership for the last 50 years!

In this special edition of Know Your Supplier’s cover story,

we showcase for you Pelmar Engineering Ltd., through an

interactive session with Jacob Peled, Founder and Executive

Chairman. Identifying and capitalizing on the opportunities

swiftly along with thirst for growth has helped Pelmar

diversify their expertise, spread reach globally and offer

single-stop shop total solutions for rubber and tyre industry.

Its not easy to achieve three record years consecutively

handling a range of activities that include pre-owned

machinery, new equipment, complete engineering services,

raw materials, military technical rubber production,

technology transfer, M&A activity and more. This requires

efficiency and focus. Don’t miss our main story to know how

Pelmar has been consistently outperforming customer

expectations year-on-year.

In addition, we have two other knowledge-enriching topics

from our portal through our ‘Insight’ and ‘Tips’ sections.

As always, I welcome your feedback on

[email protected]. �

Best Regards

Prasanth Warrier

| Editor’s Note |

Single-Stop Shop Total Solutions

Sustaining and

innovating amidst

changes is the hall-

mark of exemplary

leadership. Pelmar

Group has been

displaying it for the

last 50 years!

7

rubbermachineri

rubbermachineryworld

+Rubbermachineryworld1

grp/home?gid=8252803

rubbermachineri

(Disclaimer: The pictures and statements in our special supplements are shared by the respective companies and/or sources mentioned. Rubber & Tyre Machinery World does not verify/vouch for their genuineness, hence will not be liable for any misrepresented data)

Know Your Supplier | MAY 2016


CHINA

INDIA

USA

UK GERMANY

SPAINITALY

TURKEYISRAEL

| PELMAR | AT A GLANCE

8

50 Estd. in 1966

YEARS INBUSINESS

9World-wide

OFFICES

150 Across OfcesGloballySTAFF

11At Non-Ofce Countries REPRESENTATIVES

100 Professional & QualiedEngineers Only at TopManagement LevelPERCENT

<3Average Equipment Delivery Lead TimeMONTHS95 Exports

PERCENT

52 Turnover inUSD (’15)

MILLION

6Of Total TurnoverInvested in R&DActivities%

1901 Oldest supply. Continues to successfully work in a conveyor belt plant in Taiwan.

ANSONIA 4-ROLL CALENDER

35 Repeat Buyers

PERCENT

10 And their subsidiariesare Pelmar Customers

TOP TIRE BRANDS

1000 Delivered toCustomerSatisfaction +PROJECTS

14 With Reputed Machinery Brands

PRINCIPAL PARTNERSHIPS

YEAR OF MFG

7 Of Expertise From Equipment Supply to Turnkey ExecutionAREAS

1000 Satised Customers

PLUS

1. Equipment Dismantling and Relocation.

2. Installation and Commissioning.

3. Logistics Handling.

4. Machinery Supply: New, Reconditioned

and/or Pre-Owned - as is.

5. Technological Support.

6. Business Development, Mergers &

Acquisitions

7. Turn-key Projects.

7AREAS OFEXPERTISE

9

based in Ramat Hasharon, Israel, Pelmar Engineering Ltd.

supplies pre-owned, refurbished, and new machinery to the

tire and rubber industry worldwide. Spread around the

world, Pelmar offers wide range of services which include

equipment, engineering, technology, raw materials and

finished products.

We understand from our conversation with Jacob Peled,

Founder and Executive Chairman Pelmar Group of of the

Companies, they have had 3 consecutive record years. that

And is now planning expansion of both its commercial and

technical activities.

Pelmar Group has gradually and

consistently built a formidable name in

Rubber and Tyre Industry with sizeable

presence through its subsidiaries. What

are the challenges that you face these

days on sustaining your growth?

Our main challenge is the presence of

low-cost, mainly Chinese machinery with

low-level engineering quality. The second

challenge is to satisfy on-time the

requirements of major customers for

turn-key projects.

Our rate of response is extremely

fast whether it is delivery time or

solving a problem.

| PELMAR |

What are the major strengths of Pelmar

Group? How do you add value to

equipment buyers?

The major strength of the Group is the speed

of reaction, which is extremely fast whether

it is delivery time or solving a problem. We

add value by upgrading the machine with

tailor-made features and complete

modernization of the electrical system,

turning it into up-to-date performing

machines. We do not necessarily reduce

costs, but always increase comfort level.


| PELMAR |


Past to Present....

Pelmar started as an importer and supplier of retread equipment to the Middle East in partnership with

Myers Industries of Akron, Ohio. It then graduated into

an importer and distributor of new tire machinery forthe Middle East.

In the early 1980's the company began to design

erection of entire plants mainly for technical rubber goods such as conveyor belts, solid tires, V-belts, tire

molds, pre-cured treads, and retread materials.

In the early 1990's through today, the company expanded and built branches around the world, beginning with the UK, continuing with Germany, the USA, Italy, Austria, India, Spain and China.

Ima

ge

So

ur

ce

: Y

op

ric

ev

ille

How has been your experience so far in

this industry?

Our experience in the tire and rubber

industry has been the best. This has to do

mainly with the level and integrity of the

people we interact with, regardless if they

are buyers, sellers, employees or consultants.

Our services are needed mainly when the

market is either very low or very high.

Our services are needed

mainly when the market is

either very low or very high.

10

| PELMAR |


Images: Reconditioned Iddon Make Mixing Mill (Top). and

Pre-Owned Roller Die Dump Extruder (Below)

12

| PELMAR |


I see that you have a vast range of

equipment and some top brand-level

partnerships. You also sell pre-owned,

refurbished and new equipment. So,

what products and services can a

prospective buyer expect when they

come to you?

Pelmar is there to offer a total solution.

Pelmar offers support which ranges from

market analyses, investment and CAPEX

estimates, technical backing,

commissioning and running in machinery

that we supply.

Pelmar is there to offer a

total solution.

Images: New Carbon Feeding Unit (Right).

Reconditioned 4-Roll Rodolfo Comerio

Calender Line (Below)

13

| PELMAR |


Purchasing machinery is a major

investment for most buyers and they

would need technical inputs and

customization. What level of pre-sales

support does Pelmar Group offer?

The level of pre-sales support varies

according to customer need. We normally

offer and facilitate visits for prospects to

see similar equipment in operation. And

help them with comprehensive CAPEX

(Capital Expenditure) calculation to take

an informed buying decision.

Pre-sales support varies

according to customer need.

> Supply of New, Pre-owned and

Refurbished equipment

> Engineering Consultancy and Design

Services

> Technical and Engineering Support

and Training

> Technology Assistance and Transfer

> Plant relocation

> Plant Audit

> Market survey

MAJOR BUSINESSAREAS

Image: Reconditioned 4-Roll Rodolfo Comerio

Calender Line by Pelmar Engineering14

| PELMAR |


In your range, which are your fast

moving products and in which sector?

Which machinery of yours have larger

sales chunk?

We do not have many fast moving products

except engineering and spare parts. The

largest sales chunk is mixing and

calendering lines sold as is or refurbished.

Image: Reconditioned Gear Pump

Strainer Extruder

16

Also Extruders and Cooling Lines are fairly

fast movers.

| PELMAR |


How successful is this concept of turnkey

solutions, that Pelmar offers, in the

industry today – Do customers seek this

level of involvement in their projects?

Yes, quite a few mid-size customers seek this

level of involvement i.e. from consultancy to

planning, technology selection, and

equipment supply to start of production

runs. We are very often asked to be involved

in issues such as services supply (energy,

compressed air, steam, chilled water, etc.)

because our expertise and our experience

with end-to-end project execution.

We support technology and

productivity requirements

mostly by offering more

efficient equipment with

latest controls.

How do you compete technologically on

your products and service offerings?

Pelmar offers new, reconditioned and pre-

owned machinery to our customers. We

support their technology and productivity

requirements mostly by offering more

efficient equipment with the latest controls

and computer oriented handling. Technical

services and availability are our

means of competing in the

market, not necessarily

price.

What are Pelmar’s infrastructure and

capabilities? Can a potential buyer look

at a long-term partnership with you?

Our manufacturing capabilities are those

that are part of the Group and sub-

contractors with whom we have long-term

agreements. Yes our customers are looking

at Pelmar as long-term partners. High

percentage of our clients are repeating

customers.

17

| PELMAR |


What caution should a buyer take when

setting up turnkey lines? Do you have

any recommendation of best practices to

be adopted?

The caution that the buyer should take is

the capability and proximity of after-sales

service support. A lot of new equipment

purchased has a shorter life than older

quality European, Japanese or American

machinery. We serve our customers’ pre

and post-sales requirements through our

9 offices globally. In addition, the expertise

gained over last 50 years of successfully

delivering over 1000 projects a great

comfort for our customers and ourselves

on our capability to deliver project after

project.

How do you ensure that you deliver high

quality solutions and services to your

customer? What processes and

certifications do you have in place to

ensure consistency of quality/meeting

deadlines?

Our production engineering department is

following up each project utilizing the latest

CRM systems. Any deviation from the

pre-set program causes notification and it

is corrected immediately. In addition, we

have regular training imparted and

seminars conducted for refreshing the skills

of our team.

Our production engineering

department is following up

each project utilizing the

latest CRM systems.

Image: Carbon Handling and

Screw Feeding System

18

| PELMAR |


Do you invest in R&D? Today, where are

your R&D investments and efforts

directed?

Yes, we do. Approx. 6% of our budget. The

R&D investments are mainly directed

towards improving our lab facilities, both

chemical and physical properties.

Would you say Pelmar Group is

innovative? How do you keep this spirit

going in your employees?

Pelmar has always been innovative within

the confined area of the tire and rubber

industry. Our employees participate

regularly in various international

professional conferences and events.

Are you launching any new products /

solutions this year? Any expansion

plans?

We have launched solutions 2 years ago for

weighing and dosing of small chemicals for

tire and rubber plants. Two years before

that, we launched a new and modern

pre-cured tread press solution. And 2 years

before that, modern, new, 2-stage radial

Agri tire automated TBM.. We are soon to

announce a new product but the name and

details will only be released in the Q3 2016.

> Radial Agri Tire Building Machine

> Multi-storey Fully Automatic Loading

and Unloading Pre-Cured Tread Press

> Radial Aircraft Tire Building Machine

> Dedicated Radial Run-out Machines

for Industrial Tires

> Small Chemical, Fully Automated

Weighing and Dosing system

INNOVATIONS AND NEW PRODUCTS

Pelmar has

always been

innovative.

Image: Pelmar made

a significant presence

with their Stall at

TTE2016.

20

| PELMAR |


How easy is it for your existing clients

and future buyers to reach you and

exchange information?

I believe it is easier than before. We are

constantly working on improving our

website and shortening our reaction time

by any of our 12 companies worldwide, all

of which use the same database.

What challenges are you tackling today to

improve customer service and enhance

their overall satisfaction?

We are actually tackling today the same

challenges as 25 years ago, only that

customer service in many cases has become

more demanding, particularly speed of

service and reaction time.

What level of training does Pelmar Group

extend to your customers?

We do not meet many requests of training

customers off site. In the cases where this is

required, we normally invite the customer to

our site in Yokneam or use another

customer’s facility. These are not new

recruits, but experienced operators/trainers.

Are your solutions on machinery meeting

Precision and Automation requirements

in both domestic and export markets?

Precision and Automation are requirements

that exist already for many years. In recent

years we have spent time, efforts and funds

for improving control systems as well as

servo-motors for obtaining these

requirements. We have spent time, efforts

and funds for improving

control systems. Image: 3-Roll Precision Calender Line 21

| PELMAR |


When a customer places a service

request, how do you handle the

situation? And what is the average

turn-around-time (TAT) for your

personnel to respond and resolve?

A service request is given priority in our

system. It is normally handled within the

same day or latest within 24 hours.

How is Pelmar Group's offering of Pre-

Owned Machinery different from those

offered by other players in the market?

Pelmar only offers equipment which it

owns. It does not mediate between

equipment owners and plants and the

customers. Pelmar always carries a

thorough inspection report and corrects

what is necessary normally in

coordination with the end user and the

original manufacturer. Unlike the absolute

majority of our competitors, Pelmar mostly

acquires a complete plant or line. Very few

individual machines are bought.

How do you decide which machinery to

buy? Any specific guidelines?

The majority of equipment sellers to

Pelmar are tire plants.

What changes do you see happening in the

rubber and tyre machinery industry?

How are you positioning and preparing

Pelmar Group for these changes?

The changes have been outlined in my

recent presentations. Tire plants will

become smaller but more automated and

will specialize in one type of tire

(motorcycle, passenger, truck or off-

highway). Robotics will play a major role

and outsourcing, especially of compounding,

will become dominant.

Pelmar always carries a

thorough inspection report. Image: Refurbished Bias Cutting Line.

22

“Complete your Plantwith your desired technology to your complete satisfactionon-time through us.”

Your Partner in for Rubber & Processing MachineryMALAYSIA

For your green-field and brown-field expansion

or research projects in raw rubber and other

technical rubber goods, we can source for you

the right machinery to meet your technology

requirements, and be your single-window

support for after-sales service communication

and training in Malaysia.

For crucial projects, we train our personnel on

the machinery we supply, to give you quick

support.

In addition, we are established and licenced

contractors in Mechanical, Telecommunications,

Electrical and Civil Works. Hence, we offer you

on turnkey basis - from equipment supply,

material handling at site, equipment relocation,

erection and installation, services and utilities

to equipment commissioning.

to know more on our Contact me today

team, the equipment brands we partner

with, our esteemed clients and full range

of services for your rubber related projects.

IKATAN TEKUN SDN. BHD.

Ahmad Fezal Bin ZakariaSales & Project Manager

IKATAN TEKUN SDN. BHD.1st, Floor, Bangunan Sapura,Lot 2, Jalan Enggang, Kawasan Perindustrian PKNS,Hulu Kelang, 54200, Kuala Lumpur, Malaysia.Tel: (+6) 03 - 425.6 5.589 | Fax: (+6) 03 - 425.7 5.589

* [email protected]

) (+6) 017-362.79.71

AU

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| PELMAR |


To continue to be a “one-stop VISION:

shop” for the tire and rubber industry

worldwide, and maintain the position

of ‘head of the foxes rather than the tail

of the lions’.

CORE VALUES:

> Clarity > Top Professionalism, and

> Providing assistance to any customer,

supplier and colleague

International Offices, Plants & Warehouses - Business Manager, Location

1. Pelmar Engineering (UK) Ltd. – Joe Wilkinson, Birmingham

2. Pelmar Engineering Italia Srlu – Bruno Barbagallo, Rome

3. Pelmar Engineering Germany GmbH – Ina Helmer, Fulda

4. Pelmar Engineering Austria GmbH – Robert Adam, Traiskirchen

5. Beijing Pelmar BCE Trading Co., Ltd. – Jeffrey Hu, Beijing

6. Pelmar Engineering Turkey Ltd. – Bulent Savas, Istanbul

7. Pelmar Engineering Spain Ltd. – Enrique Guix, Barcelona

8. Pelmar Sudrishti Engineering India Pvt., Ltd. – V. M. Kulkarni, Mumbai

Naftali Blumenthal – Chairman of the Board

Jacob Peled – Founder and Executive

Chairman of the Pelmar Group

Dana Broder – Co-CEO and CFO

Eldad Eilam – Co-CEO

Tal Dekel – CEO of TGL SP Industries Ltd.

KEY LEADERS

Akar Makina Sanayi Ve Ticaret Ltd. Sti, (Turkey)

Alpha Technologies Gmbh (Germany)

Beijing Hanch Co., Ltd (China)

Calemard (France)

Cincinnati Retread Systems Div. (CRS) (USA)

Collmann Gmbh & Co (Germany)

Color Service Srl (Italy)

Comerio Ercole S.p.a. (Italy)

Intralox, LLC. Europe (Holland)

Mccoy Machinery (USA)

MACHINERY PRINCIPALS, PARTNERS & COLLABORATORS

Mcneil & Nrm Inc. (USA)

Prodicon International Srl. (Italy)

Roland Electronic Gmbh (Germany)

Techno Rubber Ltd. (Bulgaria)

The Steelastic Company, LLC (USA)

Troester Gmbh & Co KG (Germany)

Uzer Makina Ve Kalip Sanayii A.S (Turkey)

VMI Group (Holland)

4Jet Sales+service Gmbh (Germany)

24

Jacob Peled's interest has focused on the

subjects of sustainability and particularly

recycling of both technical rubber products

and tires. As a graduate of Tel Aviv

University and post-graduate of the Hebrew

University in Jerusalem, Peled has educated

a generation of researchers, scientists and

developers dedicated to tire and rubber

engineering.

Peled is an Executive Board member of the

Retread Tire Association (RTA) and a long-

standing member of the Rubber Division,

American Chemical Society and is past

President of ITRRF - International Tyre,

Rubber and Recycling Federation in the UK.

In recent years the majority of his activities

have been devoted to the development of

useful recycled materials as additives to

rubber custom compounding and the

development and responsibility for new tire

production facilities worldwide, as well as

Mergers & Acquisitions.

JACOB PELED - FOUNDER & EXECUTIVE CHAIRMAN

Peled has educated a

generation of researchers,

scientists and developers

dedicated to tire and

rubber engineering.

| PELMAR |


25

| PELMAR |


How do you differentiate yourself as well

as compete on price of your products

with other brands in the market and with

the cheaper SE Asian machines?

We differentiate ourselves mainly by size,

span and financial capabilities, as well as

engineering. We do not compete with

Chinese lower cost machines in price,

mostly in quality and service. Most of our

customers have realized themselves the

need to calculate beyond the price tag of

machines and many are concentrating on

ROI and efficiency.

Do you have CSR activities in Pelmar

Group?

Our engineers regularly volunteer with

under-privileged youth to advance their

studies and complete their matriculation

exams. We also raise donations for higher

education, like the engineering studies of the

Technicon, in Haifa and Tel Aviv University.

We do not compete with

Chinese lower cost

machines in price, mostly in

quality and service.

Image: Endurance Tester for Passenger

Tires

Image: New Mixing Mill offered by Pelmar

26

| PELMAR |


The younger management will certainly

be able to manage the company and

continue the growth trend.

What is your advice on equipment

selection to buyers of rubber and tyre

machinery?

Machinery selection is an art by itself and

should be done by people who have visions,

both technical and commercial. My advice

is always to check references, compare real

and technical capabilities and prices.

Is Pelmar Group in good financial health

and sufficiently funded to grow?

Pelmar has had 3 consecutive record years.

It is planning expansion of both its

commercial and technical activities, in

Israel and worldwide.

Pelmar Group has restructured the

management. What would this

revamped leadership and refocus aspire

to achieve in the next 10 years?

The restructuring of management was

necessary to ensure continued activity and

growth. Pelmar's international locations are

responsible for almost 75% of the revenue

and contribute to customer accessibility,

faster service, and easier personal

communications because of proximity. We

do not know of a competitor that has the

spread that Pelmar has around the world

nor anyone that has our range of services

which include equipment, engineering,

technology, raw materials and finished

products to the tire and rubber industry.

Pelmar's international

locations are responsible for

almost 75% of the revenue

and contribute to customer

accessibility, faster service,

and easier communications.

Image: Dynamic International Leaders of

Pelmar led by Co-CEO’s Dana Broder and

Eldad Eilam after a conference in 2015.

RMW

28

| INSIGHT |

C’s Of Supplier

Evaluation https://rubbermachineryworld.com/2016/02/17/10-cs-of-supplier-evaluation/

1OHave you ever finalized and transacted

with a supplier, only to realize, later, that

you’d made the wrong choice?

This could be in any form.

For example, you may have found a

supplier that offered a good price, but later

realized that its quality standards were

low, or that its communication was

unacceptably poor.

Or in cases of sub-contracting, equipment

supplied and branded with your logo are

substandard.

It makes no difference what business you

are in; suppliers and vendors play a key

role in your company’s success.

The real cost of mismatches between your

needs and a supplier’s offerings are not

always obvious. Such mismatches can add

costs, delay projects and even damage your

organization’s reputation when the

equipment supplied is substandard.

Selecting your right supplier (for machinery,

equipment or spares) includes much more

than a focus purely on cost.

If you are actively involved in supplier

selection you already know that it can be an

exhaustive process. Because there are a

wide range of variables to consider that

make the supplier selection process complex

and time-consuming.

You may introduce standardization criteria

through an assessment framework or

template for selecting suppliers. Having a

formalized system in place to track and

evaluate supplier and vendor performance

is essential to the smooth operation and

profitability of your company. This also

helps you level the playing field whilst

giving you a standardized procedure

removing some of the guesswork from the

process.

But how should you evaluate your potential

suppliers? Here’s where Ray Carter’s work

assumes significance.


Selecting your right supplier

(for machinery, equipment or

spares) includes much more

than a focus purely on cost.

This section is bought to you in association with our brand display partners

31

32

To the uninitiated, Ray Carter (Director of

DPSS Consultants) first outlined his Seven Cs

of Supplier Evaluation in a 1995 article in

‘Purchasing and Supply Management’. He

later added three new Cs to the model.

The ‘10 C’s of Supplier Evaluation’ help you

avoid supplier or vendor problems. Such a

checklist helps you to outline

organizational needs, understand how

suppliers can meet them, and identify the

right supplier for you.

While your criteria of selection for rubber

and tyre machinery suppliers may be

subtly different – developing a

standardized set of requirements will help

simplify the process and remove

subjectivity.

So what to consider in 10 C’s of Supplier

Evaluation that benefits you quicker?

1. Competency:

Does your supplier have the skills to

deliver the products you require?

This is fundamental to being a good

supplier and competency needs to have

evidence to back it up, there is no point in

you simply making assumptions. Your

supplier needs to provide hard evidence.

So, make a thorough assessment of the

supplier’s capabilities measured against

your needs, but then also look at what

other customers think. How happy are

they with the supplier? Have they

encountered any problems? And why

have former customers changed supplier?

When you evaluate, look for customers

whose needs and values are similar to

yours, to ensure that the information you

gather is relevant to your organization.

2. Capacity

Your supplier needs to have sufficient

capacity to enable it to operate flexibly. The

more flexible the supplier is, the more it can

meet fluctuations in demand.

Look at the supplier’s entire resources

(including staff, equipment, storage, and

materials). Does it have the resources to

meet your needs, particularly when

commitments to other clients are

considered? Can your supplier flex their

capacity in line with your requirements?

The supplier needs to have enough capacity

to handle your firm’s requirements. So, how

quickly will it be able to respond to these

(and to other market and supply)

fluctuations?

3. Commitment

Quality is a key requirement for any

business.

Your supplier needs to provide evidence that

it’s committed to high quality standards.

Wherever appropriate, look for quality


| INSIGHT |

The ‘10 C’s of Supplier

Evaluation’ help you avoid

supplier or vendor problems.

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34

initiatives such as ISO 9001 and Six Sigma,

within the supplier organization.

The supplier also needs to show that it is

committed to you, as a customer, for the

duration of the time that you expect to work

together. This is particularly important if

you’re planning a long-term relationship

with the supplier. You’ll need evidence of its

ongoing commitment to delivering to your

requirements, whatever the needs of its

other customers.

Does your supplier have the commitment

to maintain suitable quality performance?

4. Control

Query how much control this supplier has

over its policies, processes, procedures, and

supply chain. Control is important because

it is control of the processes and internal

procedures that needs to be looked at, so

that a full profile can be established of the

supplier and how much control the

supplier has.

Control can take various forms, for

example, how much control does the

supplier have in terms of its suppliers

warning it when goods become scarce or

even stop being produced.

So there are lots of different aspects to

control. Is your supplier in control of their

policies and procedures? How will it ensure

that it delivers consistently and reliably,

particularly if it relies on scarce resources,

and particularly if these are controlled by

another organization?

5. Cash

This is the financial standing of the

supplier. Your supplier should be in good

financial health.

Cash-positive firms are in a much better

position to withstand the ups and downs of

an uncertain economy. So, does your

supplier have plenty of cash at hand, or is

it overextended financially? And what

information can the supplier offer to

demonstrate its ongoing financial strength?

Does your supplier have adequate financial

standing? Are they in a robust position or

are they teetering on the edge of financial

meltdown?

6. Cost

Look at the cost of the product that this

supplier offers. You will find it interesting to

observe that cost is not listed as the No. 1

issue and is in the middle of the 10 C’s of

Supplier Evaluation list for a reason: other

factors, such as a commitment to quality and

financial health, can potentially affect your

business much more than cost alone,

particularly if you will be relying on the

supplier on an ongoing basis.

What is the cost of products from the

supplier? How does this compare with the

other firms that you’re considering?


| INSIGHT |

You will find it interesting to

observe that cost is not listed

as the No. 1 issue and is in the

middle of the 10 C’s of Supplier

Evaluation list for a reason.

36

7. Consistency

How will this supplier ensure that it

consistently provides high quality goods or

services?

No one can be perfect all of the time.

However, the supplier should have

processes or procedures in place to ensure

consistency. Ask your supplier about its

approach, and get a demonstration and a

test product, if possible.

Does your supplier guarantee a consistent

product time and time again?

8. Culture

This is an interesting point. Carter felt that

the supplier should be one that has the

same values and ways of operating as the

customer. In a sense this is almost about

compatibility, but it makes sense for the

supplier and the customer to have some

shared values and practices, otherwise the

relationship could be strained in the

future, simply due to the clash in different

cultures.

The best business relationships are based

on closely matching workplace values. For

example, what if your organization’s most

important value is quality and your main

supplier cares more about meeting

deadlines? This mismatch could mean that

it’s willing to cut corners in a way that

could prove to be unacceptable to you.

So evaluate, does the supplier share the

same cultural values as your organization?

Does it make sense that your supplier

shares similar values and attitudes to

avoid strains in the future relationship?

9. Clean

This is a reflection of increased

environmental awareness and refers to

your supplier’s commitment to

sustainability, and its adherence to

environmental laws and best practices.

So in a sense, suppliers are asked to

demonstrate their ‘green credentials’. What

is it doing to lighten its environmental

footprint? Ask to see evidence of any green

credentials that it’s earned.

Also, does this supplier treat its people (and

the people around it) well? Does it have a

reputation for doing business ethically? Does

your supplier have an appropriate

sustainability policy?

10. Communication

Although it may seem obvious, query how

the supplier plans to keep in touch with you.

Will it be by fax, email or telephone?

Communication also covers the ICT software

and applications that the supplier has. What

tools will you utilize to communicate with

your supplier? Will its proposed

communication approaches align with your

preferred methods? And who will be your

contact person at this firm?

It’s also important to find out how the

supplier will handle communications in the

event of a crisis. For example consider how

you will manage problem resolution and


| INSIGHT |

KELACHANDRA MACHINES(MFRS. OF RUBBER INDUSTRIAL MACHINERY)

Chingavanam - 686 531, Kottayam, Kerala. India.

Phone Off: +91- 481-2430325. Fax: +91- 481-2430596

e-mail: [email protected]

AMCL MACHINERY LIMITEDSERVICE TO THE NATION FOR FOUR DECADES

For all your enquiries please contact:

AMCL MACHINERY LIMITED Works: Plot No.A1/1, MIDC, Butirobi-441122, Nagpur

Mumbai office: 202, Ackruti Centre Point, MIDC Central Road, Andheri (East), Mumbai-400 093.

Contact person: Mr. S.H. Mehta

Mobile No. +91-9004697430. Email: Website: www.amcl.in [email protected]

• Rubber Mixer – 76" liter and 270 liter.

• Mixing Mills – 16", 22", 26" and special sizes

• Hot feed extruders – 6" and 8"

• Rubber Calenders – 2/3 rolls.

• Bias Tyre Building machine – RB1/RB3

• Automatic LCV Tyre Building Machine – RB1619

• Automatic Truck Tyre Building Machine-RB2022

• Mechanical Tyre Curing Presses – Scooter to Truck size

• Bladder Curing Presses

• Tube Splicers

Product Range

issue escalation. How quickly will it notify

you if there’s a supply disruption? How will

that communication take place? And will

you be able to reach senior people, if you

need to?

Summarizing, the Carter 10 C’s of Supplier

Evaluation model is an internationally

recognized approach, taught in procurement

studies, and acknowledged as an all-inclusive

means of making sure that a thorough

method is adopted to evaluate suppliers in a

fair manner for all potential entrants.

How do you evaluate and select your

suppliers?


| INSIGHT |

RMW

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C’s Of Supplier

Evaluation10

Choose Wisely.Operate Smartly

Ray Carter’s

1. Competency.

2. Capacity.

3. Commitment.

4. Control.

5. Cash.

6. Cost.

7. Consistency.

8. Culture.

9. Clean.

10. Communication.

39


Image: A Mixing

Set-up by Pelmar

Engineering

40

| TIPS |

Essential Questions

to Select the Right

https://rubbermachineryworld.com/2015/03/09/17-questions-

to-select-the-right-rebuilder-for-your-internal-mixer/

17Rebuilder for your Internal

Mixer


41

| TIPS |


Rebuilding an internal mixer can be less

expensive than purchasing a new

machinery. Your production downtime

can also be reduced by proper planning

because of faster turnaround times on

rebuilds.

Depending on the condition of the internal

mixer; they could be rebuilt, re-

manufactured or upgraded.

Rebuilding a mixer requires expertise in

mechanical aspects and knowledge of its

functioning. Rebuilders’ knowledge of

hydraulic, lubrication, pneumatic, electrical,

control, and cooling systems are equally

important if you plan to upgrade. The

rebuilding process will require your mixer

(and its components) to be disassembled,

cleaned, inspected, and repaired (or

replaced as is required).

Hence, an expert rebuilder follows these

steps:

▪ Disassembly, cleaning, and inspection.

▪ Estimation on the scope of rebuild and

guidance to upgrade the mixer

components (in case of old designs and

brands) to improve performance.

▪ Rebuilding or re-manufacturing mixer

components to original dimensions,

clearances and tolerances.

▪ Ordering of the required electrical,

control, hydraulic, lubrication, pneumatic,

and cooling system parts.

▪ Reassembly of the mixer and painting.

▪ Documentation and manuals for

installation, spares, maintenance (and

operations in case of upgrading the mixer)

▪ Inspection, testing and mechanical

re-certification.

▪ Installation and Startup support at site.

▪ After-market service and spares support.

There are a significant number of details

within each of the steps outlined above, that

needs extensive expertise. Hence, I suggest

that you ask yourself the following 17

questions (that needs a “yes” answer) to

decide on your choice of a mixer rebuilder.

(Reputed companies recognize the

importance of these questions and will

provide you full details. Most would even

display documentary evidence during your

discussions)

1. Is the company well-established in the

industry?

2. Does the company have drawings to

rebuild and re-manufacture your mixer

to specifications?

3. Does the company have design

capabilities to upgrade, modify or

custom-design your mixer components to

new/improved specifications?

4. Can the company service your mixer?

5. Does the company have competent

personnel for field service?

6. Can the company provide installation

support?

7. Does the company have the required

engineering infrastructure to re-

manufacture your mixer components?

What are its manufacturing capabilities?

Rebuilding a mixer requires

expertise in mechanical

aspects and knowledge of its

functioning.

42

| TIPS |


8. Can the company extend service and

spares support throughout the life of

your mixer?

9. Does the company have the required

testing (like pressure, steam, hydrostatic,

ultrasonic, etc) facilities for your mixer

and its components?

10. Does the company supply installation

and parts manuals?

11. Can the company ensure final mixer

dimensions match the existing

dimensions available at your site?

12. Does the company provide you

verification of inspection reports, test

certifications of critical components?

13. Are they confident of their internal

quality processes and systems?

14. Do they agree for a third-party inspector

for final inspection and validation?

15. How does the company go about

determining the scope of rebuild?

16. Does the company display transparency

when sharing – which components are

rebuilt? Which are re-manufactured?

Which are upgraded designs?, etc.

17. Does the company have the expertise or

resourcefulness to guide you on

electrical, control, hydraulic, lubrication,

pneumatic, and cooling systems?

| TIPS |

Plan a visit to research and evaluate your

prospective companies well. Because a

mixer rebuild can cost your pocket at least

50% or more of a new machinery price

depending on its condition. Select the right

rebuilder to restore your internal mixer to

its original capacity, maintain them well.

RMW

A mixer rebuild can cost your

pocket at least 50% or more of

a new machinery price

depending on its condition.

Image: Pelmar Reconditioned F270 Mixer

44

Dis

claim

er:

Th

is im

ag

e f

rom

web

is

on

ly f

or

rep

rese

nta

tive

pu

rpo

se a

nd

no

t o

f th

e a

dve

rtis

er.

BUSINESS OPPORTUNITY

A US $20 million company in India

proposes to set up a modern rubber

conveyor belt (Synthetic fabric and

Steel cord reinforced rubber

conveyor belts) manufacturing

plant in India for Mining and

Industrial sectors.

This company is desirous to enter

into a strategic agreement with a

renowned brand (technology

partnership/equity stake).

Genuinely interested companies

from Japan, Korea, Australia, USA,

UK, France, Canada, Germany, Chile,

Brazil, South Africa, Poland etc may

email in confidence to

[email protected]

for further communication.

Date

d: 0

6 A

pri

l 2016 | R

ub

ber

& T

yre M

ach

inery

Wo

rld

TECHNOLOGY PARTNERS FOR CONVEYOR BELT MANUFACTURING IN INDIA

Leadership & Management

Know Your Supplier - Rubber & Tyre Machinery World May 2016 Special